NEW YORK — Capitalizing on strong sales in its young women’s and accessories divisions, Pacific Sunwear of California delivered a 79 percent increase in its third-quarter net income.
The Anaheim, Calif.-based specialty retailer, which has been reporting stronger sales growth than most of its teen-targeted peers, reported income of $15.9 million, or 48 cents a diluted share, in line with raised consensus estimates, for the three months ended Nov. 2. In the year-ago quarter, income reached $8.9 million, or 27 cents a share. Sales for the quarter rose 24.7 percent to $228.2 million. Comparable-store sales increased 11.7 percent, with PacSun up 11.6 percent and Demo up 12.5 percent.
"The fall merchandise was well received in both divisions," Greg Weaver, chairman and chief executive, said in an afternoon conference call with Wall Street analysts. "We seem to be gaining market share with the help of multiple brands, and also feel our private brands are on target."
By merchandise category, all divisions reported a gain in comps: Footwear sales were up 25 percent; young women’s, 17 percent; accessories, 15 percent, and young men’s, 4 percent.
Weaver noted that growing the girls’ business remains one of PacSun’s major initiatives. For the first nine months of the year, girls’ business represented 42 percent of apparel sales and the company plans to grow it to 45 percent by the end of the year. Last year, the division was 38 percent of sales.
While a number of factors may put pressure on holiday sales goals — including this year’s late Thanksgiving, which leaves six fewer shopping days between that holiday and Christmas than last year — Weaver said he is optimistic about the business. He said comps for the first eight days of the month were up 13 percent, but warned that he doesn’t expect that performance to continue. He said he expects overall November comps to range from flat to up 2 percent, with December same-store results coming in 3 percent to 4 percent ahead of last year. He reiterated the company’s fourth-quarter earnings forecast of 50 cents a share, a penny short of what Wall Street analysts were expecting. For 2003, he said he is anticipating 20 percent earnings growth, which would bring per-share earnings in at a range of $1.55 to $1.57, with comps up 3 percent.For the nine-month period, income nearly doubled to $26.5 million, or 79 cents a diluted share, when compared with income of $13.4 million, or 41 cents a share, last year. Sales for the period increased 21.7 percent to $580.8 million. Comps increased 7.1 percent, with PacSun up 7.3 percent and Demo up 5.3 percent.
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia
Azzedine Alaïa's “I-did-it-my-way” ethos stood out starkly at a time when brands are experimenting with consumer-facing fashion shows, coed formats and trans-seasonal collections – anything to perk up lackluster sales of ready-to-wear in an age of Insta-everything. “It’s not creation anymore. This becomes a purely industrial approach,” the late designer told WWD in an interview last year. “But anyway, the rhythm of collections is so stupid. It’s unsustainable. There are too many collections.” Read more about the iconic designer’s life and work on wwd.com, link in bio. #wwdfashion #azzedinealaia (📷: @WWD Archive, 1986) #alaia
Sneaker reselling app @goat’s latest exhibit, "The Greatest: New York," tells the story of New York's sneaker culture. To celebrate the exhibit, an intimate crowd gathered on Thursday night at the pop-up gallery space, located at Platform in Culver City, to hear guest speaker and illustrator @esymai talk about her own rise in streetwear and women in the business. "For me I'm just someone who is creative. I like to create things," said Chang. #wwdfashion
Azzedine Alaïa, one of the most iconic couturiers of the modern era whose body-con designs defined Eighties fashion, has died in Paris. The diminutive Tunisian-born designer, known for his structured knitted dresses with fitted waists and impeccably cut, figure-hugging second skin silhouettes was deeply admired by his peers, and counted supermodel Naomi Campbell - his adoptive daughter - among his inner circle, one of a gang of glamazons including Farida Khelfa, Carla Bruni and Stephanie Seymour who became ambassadors of his style. (📷: Alexandre Guirkinger) #wwdblast